THE BUZZ: Reportedly, Microsoft is set to phase out its Microsoft Points system in favor of real world currency transactions similar to Sony, Apple and Steam by the end of 2012.

Inside Mobile Apps has revealed that the change will occur to Xbox Live, Windows Phone and Zune Marketplace. Transactions will be based on the region of purchase, with real money being used instead of points. An anonymous source with “with knowledge of the company’s decision,” has revealed that mobile developers who have publishing deals with Microsoft are being warned of the change, and that customers with existing point balances will have the converting into equivalent values after the change.

When asked Microsoft responded with the usual: ”We do not comment on rumours or speculation.”

EGM’s TAKE: Over the past few years, many Xbox Live users have voiced their concern over the Microsoft Points system, mainly in regards to the set figures that must be purchased in one go. A lot of DLC and XBLA titles are between 800-1200 Microsoft Points, however users don’t have the option to purchase this many points in one transaction, and are always forced to pay for more then they need. Considering the fact that Sony, Apple and Valve have all enjoyed great success with transactions using actual currency it’s no surprise that Microsoft is considering a switch. Another strong reason is the ease of purchasing content on Apple mobile products compared to Windows Phone 7. This puts a lot of users off and moving in line with the market leader is a good strategy. All common sense points to this being a logical decision by Microsoft, so it stands a good chance of being true.

Is a move to real currency transactions a good one? Let us know below.

Source: Inside Mobile Apps